Big bank earnings broke records on July 14 as the five biggest US lenders posted a combined profit of $49 billion, led by JPMorgan Chase’s $21.2 billion and the best quarter in Goldman Sachs’ history.
The gains came from trading and trading rather than conventional lending. This is important because it benefits companies that have financial support, or the railways through which money flows.
Major Bank Profits Set Up Posts Like Sales Desks
JPMorgan report profit of $ 21.2 billion, or $ 7.70 per share, up 41% from the previous year. Its stock sales rose 86% to $6.03 billion, raising total trading revenue to $12.1 billion.
Banking revenue rose 30% to $3.3 billion, the strongest showing since 2021. This is the money banks earn by helping companies raise capital and fully integrate. Meanwhile, Visa’s long-standing subsidiary posted a $4.6 billion profit for the quarter.
Goldman Sachs earned $20.98 per diluted share on $20.34 billion in total revenue, according to reservation. Net profit came in at $6.63 billion, and both earnings and per share set a record for a 23.5% return on equity.
The writing grew again. Goldman’s fees for helping companies sell new shares rose 130%, while fees for arranging new loans rose 75%. Total banking income jumped 55% to $3.40 billion.
“Our performance in this segment demonstrates the strength of our global investment portfolio, the depth of our relationships, and our ability to leverage the strengths of One Goldman Sachs,” Goldman Sachs Chairman and CEO David Solomon said in a statement. to release.
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The rest of the teams fought back. Bank of America grew profits 27% to $9.1 billion, according to its own to release. Wells Fargo earned $6.4 billion, of its own report showed, and Citigroup posted $5.8 billion, up from $4.0 billion a year earlier, according to its results.
This power answered the question that BeInCrypto raised bank capital the previous day’s show. Investors wanted proof that the economy could stabilize, and the banks provided it.
Having Rails for Sales Success
Think of economic railroads as toll roads. Trading platforms, registration desks, payment centers, and warehousing services pay a small fee every time a price moves. In this quarter, the taxpayers caught almost everything.
Conventional lending, where banks profit from the difference between the interest rate on loans and deposits, is stable but adds little to growth. The difference is important because the payments increase with the activity, while the loan is based on the interest rate.
JPMorgan’s $4.6 billion acquisition of Visa makes the point somewhat. Visa began in 1958 as a card program for Bank of America and became a stand-alone network through its 2008 IPO. The banks that owned the payment rails have reaped dividends over the years since then.
IBM offered a mirror image the same day. The company said the first Q2 revenue of about $17.2 billion was missed, and IBM stock down 22% in public. Corporate budgets have shifted toward chips, power, and data rates, the type of railroad technology, and away from legacy software applications.
The lesson in all of these stories is simple:
- The companies that own the pipelines collect a fee every time there is an increase in activity, as the markets move.
- Companies that sell products, in contrast, must win each contract over and over again.
Why Crypto Banking Is Important
For crypto investors, the first indicator is liquidity, meaning the ease with which money flows through the markets. Stock trading records show deep markets and risk volatility, conditions that supported Bitcoin (BTC) and other risky assets.
Crypto has taken a growing share of such meetings since the US launched Bitcoin ETFs in January 2024.
The rail concept also maps directly to blockchain economics. Stablecoins, digital tokens designed to have a stable dollar value, aim to be payment rails that operate around the clock. Their contributors earn money from the database as the tokens move lower in value.
Washington paved the road last year. The GENIUS Take actionwhich was signed in July 2025, gave stablecoins their first official legal document. Administrators have issued trust charters to providers such as Circle and Paxos, on Brookings.
The Big Banks Are Already Starting to Set the Way
More than 15 tenants competition to raise money on private networks. JPMorgan’s blockchain division Kinexys has generated $4 trillion in revenue since its inception and about $7 billion daily, bank. Its JPMD deposit token is now based on Base, the public Ethereum network.
School signs point to the same. BlackRock and HSBC recently joined the a UK tokenization push that a government report says could add $44 billion to annual emissions by 2035.
Meanwhile, the new MicroStrategy site The establishment of a Bitcoin bank at 32% of large borrowers.
Wall Street just showed how money flows to those who have pipelines under the markets. An open question is whether banks, stablecoin providers, or public blockchains will build the next generation of blockchains.
Technology earnings this weekend may reveal where money will flow.
Note:The latest research from BeInCryptofound that more than 56% of the Tokenization market has zero use on the chain.
A note Big 5 Banks Earn $49 Billion In One Quarter With Crypto Investments appeared for the first time BeInCrypto.
